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Q. > Please Help: Interest on late payment of TDS
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299 views • Question added Jan 21, 2014 • Income Tax • By Ashwani Mittal , CA , Panchkula Urban Estate


We have deducted TDS on Salary on 30.04.2013 and deposited the TDS on 09.05.2013. For what period the Interest will be charged for late payment of TDS. TDS CPC is asking for 2 months interest. How to contest?

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Hemal

21-Jan-2014 , 08:05:16 pm

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Harshal Ajmera

23-Jan-2014 , 10:27:52 am

2 months, as int is from the date of deduction to the date of payment and every calendar month is considered as one month.

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Santosh

23-Jan-2014 , 11:02:45 am

it is correct that interest will be charged for two months.

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sujith

24-Jan-2014 , 11:28:45 am

If you want to avoid interest of late payment i.e sec 201 then change the date of deduction on the first week of may so as to avoid interest on late payment of tds. KEEP THE DATE OF DEDUCTION AS 02.05.2013 , then you will not get interest on late payment.

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